In a Recent Year, Garvey Corporation Had Net Income of $120,000

question 187

Multiple Choice

In a recent year, Garvey Corporation had net income of $120,000, interest expense of $20,000, and income tax expense of $30,000.What was Garvey Corporation's times interest earned for the year?

• A)6.00
• B)7.00
• C)7.50
• D)8.50

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Definitions:

Russian Dolls

A set of wooden dolls of decreasing size placed one inside another, often used metaphorically to represent complex layers of personality or nested structures.

Nested

Objects or concepts placed inside one another, often referring to data structures in programming or hierarchical ordering in systems.

Abraham Maslow

An American psychologist best known for creating Maslow's hierarchy of needs, a theory of psychological health predicated on fulfilling innate human needs in priority.

Hierarchy of Needs

A theory in psychology, proposed by Abraham Maslow, that prioritizes human needs from the most basic physical demands to higher psychological desires.